File scanned from the National Security Adviser's Memoranda of Conversation Collection at the Gerald R. Ford Presidential Library MEMORANDUM I THE WHITE HOUSE WASHINGTON ..e1hCRE'!f"/NODIS MEMORANDUM OF CONVERSATION PAR TICIPANTS: President Gerald R. Ford Dr. Henry A. Kissinger, Secretary of State and Assistant to the President for National Security Affairs Ambassador James Hodgson, U. S. Ambassador to Japan Lt. Gen. Brent Scowcroft, Deputy Assistant to the President for National Security Affairs Kakuei Tanaka, Prime Minister of Japan Toshio Kimura, Minister of Foreign Affairs Ambassador Takeshi Yasukawa, Ambassador to U. S. Kiyoshiko Tsurumi, Deputy Vice Minister of Foreign Affairs DA TE AND TIME: Saturday, September 21,1974 5:30p.m. PLACE: The Oval Office The White House [The meeting opened with warm greetings and a barrage of press photographers. ] .., President: There are many from the Japanese press here • ci -ri Kissinger: Once I gave an off the record press conference. and the i) next day it was reported in detail. I asked how come since it was ffi~t~ off the record. I was told that "Off the record here means only one ~ newsman can report the meeting. II ~ ::;'W Lt) C!! tc [The pres s is ushered out. ] ~t:0 ~d~< ~~~ President: Mr. Prime Minister, it is nice to have you here. You ~~ - should come here more often. I am looking forward to meeting with ~ :g~ ~~S you in Tokyo. Oq~ w::: Tanaka: First of all, Mr. President, let me give you my congratulations. SECIH!3':F I NODIS -2- • I have also been a Congressman for 20 years. We shall be looking forward to welcoming you in November. In the long history of, u. S. - Japanese relations,you are the first President to visit Japan. President: Mrs. Ford a'no I are looking forward to it. I have been there before, and it is a great honor for me to be the first to visit as President. ' Tanaka: The Japanese people are making a major effort to make this a major event in U. 'So - Japanese history •.' I have on my own been visiti ng the United States once or twice a year for several years. I count ~six visits to the White House. President: After my visit to Japan I hope we can make some plans for a return visit here. Visits of this kind can be very helpful, and I hope we can keep this kind of relationship active. Tanaka: The United States, as the major power, has important relations with a number of powers. We make it a fundamental policy-- past, present, and future -- to have good relations with the United States. Relations between us are very smooth. President: I think we have no major differences between us. We are very fortunate to have, this sort of relationship between us at this time. Tanaka: For Japan, the fundamental link is the Security Treaty. Through this we want good relations with all nations, but the fundamental relationship is that with the United States. President: I agree with that. It is especially important to have cooperative relationships in the Pacific. Tanaka: As you know, Japan has few resources of its own. Looking over our development in the past 30 years, trade with the United States has been about 20 percent of, our trade, and with American overseas corporations, trade with the<United States is about a third. There have been some troublesome issues, like textiles--but the unfavorable trade balance, ~ which I promised would be reduced in two to five years, I have done. ~fOR~ S 'J,)'". "S~ORE'jl/NODIS '" ~ . \ ~~ "" I \,""b ~/ ","- .., iiliQREl'f/NODtS - 3- Kissinger: We debated many hours on that. The Prime Minister kept hi sword. President: You may not have many. natural resources, but your people are a great resource. We are proud to have them as allies. We are now trying to get the Trade Bill through. t hope there are no problems like textiles. We are having a good crop year, with some shortages on food commodities. As t See our trade, it is beneficial to both of us. Tanaka: As you know, between our countries we depend on wheat, maize, soybeans--as much as 90%. We welcome your statement that you see no need for export controls. President: As you know, we removed all production controls on our agriculture. t hope we may do better than the last estimates. It depends on the weather. We hope next year to expand our production further. Hodgson: To show how important this is to the Japanese, their Agriculture Minister says the U. S. crop reports determine whether he has a nervous stomach for the day. Tanaka: You made a speech on the big questions like inflation, food and oil. On these, questions t am in agreement with you. If we merely let things go and see more oil price rises and more crop failures, we would have not only inflation but a major collapse. Therefore, we must deal with these issues. President: Last week[at the United Nltioa:;] Isp>ke of the interdependence of the world and the need to cooperate in all these matters. t think it was well received. It was a little firm, but t haven't heard many.adverse comments. Kissinger: Next Saturday the Japanese Foreign Minister and Finance Minister will join us at Camp David for a review of the whole energy situation. President: It is a beautiful place to work and relax. Hodgson: That is the U. S. answer to Karuizawa. Kissinger: Was that where t visited the Prime Minister Un 197~ Tanaka: The late Finance Minister was planning to go to Paris but he died. 4tEl61\E 'f'/NODtS S:l£CRB'¥tNODIS -4- Kissinger: This will be the big five. There we can talk frankly about what can be done. Tanaka: We originally had a meeting of 10, increased it to 20, but I think it important to have the key countries meet in these issues. Kissinger: You'd be surprised how many think they are key. Tanaka: I think it is very important that the ministers of these key countries talk over these issues. President: t think it is very important, because your economy, our economy, and the world economy could depend on the outcome of meetings like this. Tanaka: We also wish to find the answers after a positive discussion. In the tMF, the World Bank, and IDA. we have been discussing these big questions, but it is time now to dlscuss them in a polotical framework, to seek a solution. ' t have met with Giscard. He is a good debater, but it is time now to get to concrete solutions. The U. S., Germany, and Japan get things done, but the French sometimes have a different approach. PresidentBecretary Kissinger has such a good time with the French. Kissinger: Particularly the former Foreign Minister. I think he went over there and voted. Tanaka: This time I hope the sort of thing the U. S. has been proposing for some time could come to pass, because France, which has been critical,now has an even more interest••• President: [To Secretary Kisdnger] Didn't we just make progress? Kissinger: We did. France is not formally part of the emergency sharing, but I think they will find ,a way of assisting it. We appreciate the role of the Jap~nese. President: We: appreciate your Ambassador. ,He isa fine representative of your people and government. Tanaka: Our Ambassador understands the significance of U. S. -Japanese relations and knows the importance of his job. i '~:' fcn~ i IlL SECa.n'I' /NODIS I :; ~ : ." .);f , \'d" ~J :> t) / .' .,.~' -sECRE'iF{NODIS -5- President: We see a number of Ambassadors, and yours is one of the very best. Tanaka: Thank you very much. Hodgson: I think one of the notable things is the work the Foreign Ministry has done in turning around a very delicate and difficult situation with the Koreans. Kissinger: It was done with great delicacy and skill. Tanaka:We appreciate the American Government's support in this matter. These questions in the future--Korea and Taiwan--are the focal points for peace in Asia. We have an historical background with them. In seeking cooperation with them, we need American cooperation and support. President: The United States has good and warm relationships with both. We have a close relationship with Korea and an excellent relationship with Taiwan. It is important for you to have the same. I followed this crisis closely, and it would have been most serious had there remained a problem between Japan and Korea. Kissinger: We must work together in the UN on Korean items, so it is particularly important to settle the problem. Kimura: I shall be meeting with Secretary Kissinger on the 22nd and we will discuss in detail this question. Tanaka: It is not just Japan-Korea, Japan- Taiwan, but what will happen to stable relations in Asia. Therefore, we are thankful for the friendly role you played, and Mr. Kimura will take it up with Secretary Kiss inger in detail. Kissinger: We will take identical approaches. President: Some in America became sour on the role of the U. S. in Asia due to Vietnam. Now that that is settled, we are free to broaden and concentrate on a wider area. The American people want us to stay there and to participate. Our policy is global, not regional, and it is important for us to participate constructively in Southeast Asia and other areas of the Pacific. Tanaka: I would like to thank you again for your positiv.erole in Korea, and for the nature of your global role in preserving peace.